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More than the current ratio or acid-test ratio, it assess an entity's ability to stay solvent in the case of an emergency.
Even highly profitable companies can run into trouble if they do not have the liquidity to react to unforeseen events.
Finally Software Quality Assurance (Process and Product Quality Assurance, PPQA, under CMMi) would verify that the selected SDLC was indeed being followed.
The purpose of Organizational Process Definition (OPD) is to establish and maintain a usable set of organizational process assets and work environment standards.
There are several ratios that express accounting liquidity highlighted below.
The CMMi easy button concept and disclaimer Disclaimer: The opinions expressed here are the authors and do not express a position on the subject from the Software Engineering Institute (SEI) or any organization or SEI Partner affiliated with the SEI.Cash is considered the most liquid asset, while real estate, fine art and collectibles are all relatively illiquid.Accounting liquidity measures the ease with which an individual or company can meet their financial obligations with the liquid assets available to them.When the spread between the bid and ask prices grows, the market becomes more illiquid.Markets for real estate are usually far less liquid than stock markets.